Nxtra Data raises $1B to expand to 1GW capacity, supporting India’s AI and digital infrastructure growth.

Nxtra Data Ltd, Bharti Airtel’s data center unit, is raising $1 billion through a rights issue and preferential allotment to expand its capacity to 1 gigawatt, aiming for a 25% market share within three to four years. Airtel and Carlyle each contribute $300 million, while Alpha Wave Global, linked to Abu Dhabi’s Sheikh Tahnoon bin Zayed, invests $400 million. The funding supports Nxtra’s growth and its role in building Google’s $15 billion AI hub in Visakhapatnam, where Airtel provides high-capacity fiber. The company operates 14 core and 120 edge data centers across 65 cities, reported a net profit of ₹224.3 crore in FY25, and plans to list in the coming years. This investment aligns with India’s broader push in digital infrastructure, driven by AI demand, data localization laws, and government incentives like 20-year tax holidays, with over $270 billion in planned data center investments from global and Indian firms.